LPG production up by 25 per cent amid West Asia crisis; here’s what FM Nirmala Sitharaman said

The domestic LPG production has surged by 25 per cent in India after the Strait of Hormuz gets affected by the West Asia conflict. Scroll down to read the detailed story.

LPG Crisis: The Finance Minister of India, Nirmala Sitharaman, has said that the production of domestic LPG has increased by 25 per cent. This comes after the crisis began in West Asia, which affected the transit route of the Strait of Hormuz. According to the Press Information Bureau (PIB), India is 60 per cent dependent on LPG imports, out of which 90 per cent reach the country through the Strait of Hormuz. Now, the LPG production, domestically, has increased by 25 per cent, with priority given to the household consumers.

Govt increases LPG production

During a debate in the Rajya Sabha, Finance Minister Nirmala Sitharaman added that the government of India has taken steps to curb the situation of the LPG crisis. She highlighted that the increase in the domestic production of LPG is helping in stabilising the supply chains at a time when the international routes remain unclear, hinting at the transit area of the Strait of Hormuz.

“In these challenging times, domestic LPG production has gone up by 25 per cent, and the entire output is being supplied to domestic consumers,” said the Finance Minister.

Import dependency of India

The Finance Minister said that almost 65 per cent of the imports of LPG remain dependent on the imports, out of which a handsome percentage of almost 90 per cent is brought to India through the route of the Strait of Hormuz. The Finance Minister, Nirmala Sitharaman, added that the predominant objective of the Indian government is to increase the domestic LPG production in the country so that the dependency on imports can be reduced as much as possible.

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What are refineries doing to maximise oil output?

Nirmala Sitharaman said that the refineries and petrochemical complexes have been provided with directions to increase LPG production. This will be done by the diversion of propane, butane and other streams into the LPG pool, as told by Sitharaman.

Role of power sectors

The Finance Minister also added that the installed capacity of India has reached 520.5 gigawatts as of January 2026. “Non-fossil sources now stand at 271.97 gigawatts, accounting for more than 52% of total capacity and surpassing fossil fuel capacity,” said she.

She also mentioned, “We are not just depending on a steady flow even in troubled waters. The way in which we have built our power sector, in today’s times, stands as a very big support for us.”

(With inputs from ANI)